Following the Dencun update, Ethereum (ETH) has experienced a decrease in its burn rate, potentially impacting its perception as “ultrasound money.”
The Dencun hard fork was successfully implemented on March 13. EIP-4844 introduced Proto-Danksharding, enabling improved network scalability. This has led to reduced fees in L2 networks within the ecosystem.
Since the hard fork, Ethereum’s burn rate has slowed, and its market supply has begun to increase. However, the cryptocurrency still maintains a negative annual inflation rate of -0.2%.
The Pectra upgrade is scheduled for late 2024 or early 2025.